JACKSONVILLE, Fla.–While their strategies are different, two credit unions have announced significant initiatives to help members eliminate debt.
In Florida, VyStar Credit Union said it has been motivated in part by a new report it commissioned that shows costs and mounting debt continue to strain households across the Southeast, which is why it has launched the Debt Payoff Challenge, which it is describing as an “action‑driven initiative designed to help communities tackle rising debt, strengthen financial confidence, and access practical tools for long‑term financial stability.”
The launch of the Challenge follows the findings in The State of Financial Stability in the Southeast, Presented by VyStar and TransUnion, a study of 2,800 residents across Jacksonville, Orlando, and Atlanta conducted in partnership with TransUnion. Findings were further informed by insights gathered through collaboration with more than 400 nonprofit partners and findings from the United Way ALICE Report, the credit union said.
The Findings
According to the $13.7-billion VyStar, the survey found:
- Finances are the top source of stress for 40% of residents, with many describing their situation as “living in survival mode.”
- Only 48% of residents report being able to pay all their bills on time, well below the national benchmark of 71%.
- 86% of nonprofit respondents reported that residents are carrying “more debt than is manageable”.
- 42% of residents are more concerned about their current level of debt now than they were a year ago.
- Among those with credit card debt, only 56% make more than the minimum payment, while 15% are unable to even make the minimum payment.
Greater Education Needed
“Residents consistently cited the need for greater education on interest rates, budgeting, responsible borrowing and credit management, particularly for those living paycheck‑to‑paycheck,” VyStar said.
In a statement, VyStar Chief Marketing Officer Dana Karzan added, “The insights from The State of Financial Stability in the Southeast, Presented by VyStar and TransUnion, reveal just how deeply rising debt is destabilizing families across our region. These findings deepen our resolve to deliver real solutions that restore stability, confidence, and control because standing with our members and our communities is at the heart of who we are. The VyStar Debt Payoff Challenge is a bold step toward helping people break free from financial strain and rebuild a future they can feel confident in.”
How it Works
VyStar said its Debt Payoff Challenge offers “practical tools, expert guidance, and a supportive community to help” participants reduce debt and build financial confidence. Members will access educational resources, workshops, and a dedicated online community “empowering them to make real progress toward financial stability,” the credit union added.
According to VyStar, participants will have the opportunity to:
- Complete a Financial Fitness Quiz to assess financial confidence in key areas.
- Receive Bi-Weekly Educational Tips and Content on reducing debt, building savings, and improving long-term financial health.
- Access VyStar Tools and Resources, designed to help pay down debt faster, improve credit health, and save on high-interest expenses.
- Participate in Free Community Workshops focused on budgeting, credit building, and financial resilience.
Prizes to be Awarded
At the end of the challenge, VyStar said it will announce the total amount of debt participants collectively reduced and celebrate the five winners of $5,000 each to help pay off their debt.
Keesler FCU Offering $1 Million to Wipe Out Debt
Separately, in Biloxi, Miss., Keesler Federal Credit Union is rolling out what it said is the largest member giveback in its history, committing $1 million to wipe out credit card balances for hundreds of members in a new “Live Your Way Debt Eraser” initiative.
Under the program, the $5.1-billion Keesler FCU said selected members will see up to $4,000 in credit card debt paid off, with $1 million applied directly to February statement balances. The credit union said balances will be reduced until the full $1 million has been distributed, “putting real dollars back into members’ pockets at a time when many are seeking breathing room.”
The drawing for the Live Your Way Debt Eraser will take place on March 6, with winners announced beginning the week of March 9.
History of Member Givebacks
Keesler FCU said the initiative builds on its strong history of member givebacks. It noted that in 2025 alone, it returned more than $6.8 million to members through rewards programs, drawings, and other member-focused initiatives.
More information and a video can be viewed here.
Keesler FCU Chairman James Hollingsworth, below, in video for ‘Debt Eraser’ promotion.
